Insurability refers to the degree to which a person or a company is deemed insurable by an insurance company. In other words, it is an assessment of potential risk by an insurance company. All insurance companies have their own methods for evaluating insurability. Some of these evaluations include statistics for age, weight, health, etc.
Insurability can be particularly important for life insurance. This is because if a person is deemed to have very low insurability, it means that the person has a high chance of death. This means that the life insurance company would have a high chance for paying out a claim on the person. Factors that can lower insurability for life insurance candidates include old age, heart disease, cancer, reckless lifestyle, and more. Factors that can increase insurability for life insurance candidates include youth, healthy lifestyle, physical fitness, no major illnesses, etc.
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